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    Financial Markets and Institutions Study Set 1
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    Exam 10: Conduct of Monetary Policy: Tools, Goals, Strategy, and Tactics
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    The Supply Curve for Reserves Shifts to the Left and the Federal
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The Supply Curve for Reserves Shifts to the Left and the Federal

Question 55

Question 55

Multiple Choice

The supply curve for reserves shifts to the left and the federal funds rate rises when the Fed


A) raises reserves requirements.
B) does an open market purchase.
C) does an open market sale.
D) raises the discount rate.

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